South Korea’s Unastella Raises $24M to Advance Rocket Development

As SpaceX moves toward what could be the largest IPO in history, Asia’s launch startup scene is gaining momentum. Companies across Australia, India, Japan, and South Korea are racing to compete in a market long dominated by the U.S. and China.

One emerging player is Unastella, a four-year-old South Korean rocket startup that recently raised a $24 million Series B, bringing total funding to $44 million. The company launched its UNA EXPRESS-I rocket from South Korean soil in May 2025. Based in Seoul, Unastella is developing its own launch vehicles and engines, with an initial focus on small satellite launches. Its longer-term goal is crewed suborbital spaceflight, but for now the company is focused on validating its technology through orbital missions.

Unastella uses a kerosene and liquid oxygen propulsion system, paired with an electric motor pump instead of a traditional turbopump. The setup is simpler and cheaper, though heavier, which reduces payload capacity. For founder and CEO Jae Park, the trade-off is intentional: the priority is getting to market quickly with a commercially viable system.

The company handles design, manufacturing, ground operations, and flight data in-house. Park, a propulsion engineer, previously worked on South Korea’s Nuri rocket at KARI and later on European launch vehicle engines at the German Aerospace Center.

Unastella has yet to generate revenue, but investors are backing its roadmap. Altos Ventures led the latest round, with participation from Korea Development Bank, Strong Ventures, Hana Ventures, and others.

Its next launch, UNA EXPRESS-II, is expected later this year. Reaching 100 kilometers would be a major milestone and could help the company secure partnerships with South Korea’s larger aerospace and defense firms.

South Korea’s commercial launch market is still young but developing quickly. Hanwha Aerospace now controls the government-built Nuri rocket program, while startups Innospace and Perigee Aerospace are also pursuing launch vehicles. None has yet completed a commercial orbital launch.

The broader Asian market is also heating up. China’s Galactic Energy, LandSpace, and iSpace have already conducted multiple launches. Japan’s H3 rocket completed its first successful mission in 2024, while Interstellar Technologies is developing a small launch vehicle. In Australia, Gilmour Space attempted its first orbital launch this year.

Rocket Lab, founded in New Zealand and now listed on Nasdaq, remains the region’s benchmark as the only Asian-founded company to build a commercially viable launch business at scale.